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FIFA presses ahead with private investment plan despite opposition

From ABC Australia · () English

Summarized and contextualized by DistantNews.

At a glance

News From a news agency Context piece
  • FIFA plans to proceed with a private investment proposal despite significant opposition from UEFA, CONCACAF, and the AFC.
  • The plan aims to raise up to $4.2 billion by valuing a new commercial subsidiary, FFE, at $20 billion.
  • Carlos Cordeiro, a senior advisor to FIFA president Gianni Infantino, resigned in protest, calling the deal "bad for FIFA's Member Associations, a bad deal for football, and a bad deal for the long-term future of the game."

World football's governing body, FIFA, has stated it will move forward with an "open and democratic" consultation process for its proposed private investment plan, despite facing widespread opposition from major confederations. The plan, announced Tuesday, involves creating a commercial subsidiary, FIFA Forward Enterprise (FFE), to manage events like the World Cup and Club World Cup, potentially raising up to $4.2 billion based on a $20 billion valuation.

It is a bad deal for FIFA's Member Associations, a bad deal for football, and a bad deal for the long-term future of the game.

— Carlos CordeiroSenior adviser to FIFA president Gianni Infantino, explaining his resignation in protest of the private investment plan.

Significant opposition has emerged, notably from UEFA, which has pledged to boycott the World Cup if FIFA proceeds. CONCACAF and the AFC have also voiced strong concerns. Carlos Cordeiro, a senior advisor to FIFA President Gianni Infantino, resigned Friday with immediate effect, strongly condemning the proposal. "It is a bad deal for FIFA's Member Associations, a bad deal for football, and a bad deal for the long-term future of the game," Cordeiro stated, emphasizing his lack of involvement and unequivocal opposition.

FIFA acknowledged feedback from UEFA and CONCACAF, both of which reported that all their member associations rejected the proposal to sell a stake in the business operations of the World Cup. FIFA stated that its planned consultation process had been disrupted by "incorrect media reports" and reaffirmed its commitment to an open and democratic process, ensuring each member association can vote based on facts.

We respect the feedback and concern aired in public and reaffirm our commitment to an open and democratic consultation.

— FIFAStatement from FIFA addressing the opposition and reaffirming its consultation process.

If approved, the project could provide FIFA's 211 member associations with a one-off payment of $20 million in early 2027. Additionally, their funding allocations for the 2027-2030 cycle would increase from $8 million to $20 million. FIFA maintains that "Nobody is selling football" and that the organization would "never entertain" such a prospect.

Nobody is selling football.

— FIFAStatement from FIFA clarifying the nature of the proposed private investment plan.
DistantNews Editorial

Originally published by ABC Australia. Summarized and contextualized by our editorial team with added local perspective. Read our editorial standards.

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